2015 (10) TMI 2360 - AT - Service Tax

Restoration of appeal - Non- compliance of Stay Order - Pre-deposit of ₹ 8,00,000.00 - Partial compliance before dismissal of appeal and deposited balance after dismissal - Appellant pleads reason of financial hardship and to view the matter leniently - Revenue contends that amount deposited in month of June and July 2015 could not be verified - Held That - Appellant have complied with stay order partly before dismissal of appeal - Submitted reply to letter of the Assistant Commissioner, Central Excise, Customs and Service Tax Vadodara-I stating amount remaining was paid in June and July 2015 - Department may initiate separate proceedings against any discrepancy - appeal restored.

Summary

Issues: Restoration of appeal dismissed for non-compliance of stay order. Verification of deposited amounts.

Restoration of Appeal:
The applicant filed for restoration of an appeal dismissed due to non-compliance of a stay order. The stay order required a pre-deposit of Rs. 8,00,000, with compliance due on 12.03.2014. The applicant had partially complied by depositing Rs. 4,00,000 before the appeal dismissal. The applicant, a proprietorship firm facing financial hardship, had paid Rs. 7.31 Lakhs before the stay order and the remaining amount post-dismissal. The applicant argued leniency due to their status as a proprietorship firm, citing a relevant court decision.

Verification of Deposited Amounts:
The Authorized Representative for the Revenue raised concerns about verifying amounts deposited in June and July 2015. Supporting documents were provided by the Assistant Commissioner. After reviewing submissions from both sides and records, it was found that the applicant had indeed deposited the entire duty amount. The Authorized Representative's claim of unverified deposits was countered by the applicant, who explained the payments made in June and July 2015. The Tribunal, upon considering all evidence, decided to recall the order dated 09.07.2014 and restored the appeal to its original number, as the applicant had complied with the stay order requirements.

This detailed analysis covers the issues of restoration of appeal and verification of deposited amounts, providing a comprehensive overview of the judgment delivered by the Appellate Tribunal CESTAT AHMEDABAD.